As the biggest Construction event in the Middle East; like The Big 5 attracts a lot of expat to form a company in this area. Often these expat are new to the this part of the world; and are searching for how to form an engineering consultancy company in the UAE. In this article we will explains the process as well as the requirement concern to DM; and we will also explain the process of how to get the Engineering consultancy license in Dubai; and what are the legal way to operate your operation in this part of the world.
Engineering consultancy license in Dubai
An engineering consultancy license in Dubai is a formally recognize license; that is for those who desire to connect in engineering field in Dubai. The objective of the Municipality is to legalize the engineering industry in Dubai; make sure excellence as well as quality control; and to promise that both expat as well as local can safely perform the work they loving for.
It is important that a company has the right category; and also recognize by the team at Dubai Municipality’s Building Services Dept; that is ahead of applying for a permit to practice in the areas of engineering.
As per the rules of the Dubai Municipality, (under Local Order No. 89 of 1994 & Administrative Decision amended by Local Order No. 106 of 1997 and Local Order No. 4 of 1999 issued on Regulating the Practice of engineering consultancy license in Dubai). It is compulsory that this type of company need a local partner with the following attributes:
- He must be a UAE citizen
- He must be have a BSc Degree in Engineering from a university in one of the same field.
- To have experience in the same field for at least three years; that is after getting his or her degree
- Also he must be a part of the Engineer Association in the UAE
Local engineering consultancy license in Dubai
A local engineering firm is a company owned by one or more UAE citizen entered in the Register. One or more expat may have a share in this type of a firm; but note that they can only get 49% of share in the company.
A local engineering company can be classified as follows:
- First Category – Ten years for UAE Nationals or fifteen years for expat.
- Second Category – Five years for UAE Nationals or ten years for expat.
- Third Category – Three years for UAE Nationals or five years for expat.
There are three classifications of engineering consultancy license in Dubai
- Associate Engineering Firm
- Expert Engineer Firm
- Foreign Engineering Branch Office
The above requirements apply to the following engineering, architectural and consultancy activities:
- Architecture Consultancy
- Civil Engineering Consultancy
- Electrical and Electronic Engineering Consultancy
- Mechanical Engineering Consultancy
- Mine, Mining and Geological Engineering Consultancy
- Chemical and Petrol Engineering Consultancy
Categories of Engineering consultancy license in Dubai
There are two major categories of classification; one each for engineering consultancy companies, and for contractors. The formation process is to some extent different depending on the legal form you prefer. The differences are explained below:
Engineering consultancy license in Dubai
In order to form this type of a company; the following requirements must be met:
- If you are going to register your branch of a foreign company; then you need to provide the details of your working for the past 15 years; so that they can be properly classified.
- Abroad companies have to appoint a local representative to handle the application on their behalf. The local agent should be a Dubai-born person
- Also note that the General Manager of this type of firm must be an Engineer with 15 years of experience; and must be a national of the foreign country from where the Branch originates.
- A certified engineer with not less than 15 years experience should take responsibility; that is for all activities which are on the trading license; and must be a member of the Society of Engineers in the UAE.
- If you want to set up an LLC or a Civil Company you need a local partner; he must be an Architect or Civil Engineer with at least 10 years experience. This Engineer should hold a minimum of 51% of shares in the unit.
Setting up a contracting license in Dubai
In order to form this type of a contracting license in Dubai; the following requirements must be met:
- If you are going to register your branch of a foreign entity; then you need to provide the details of your working for the past 15 years; so that they can be properly classified.
- Companies from abroad have to appoint a local agent to hold the application on their behalf. The local agent should be a Dubai born person
- Overseas companies applying for contracting license in Dubai as a Branch should apply for ‘Unlimited’ classification; the highest grading accessible
- A certified engineer with 15 years qualified experience should take responsibility; for all activities listed on the trading license; and must be a member of the Society of Engineers in the UAE.
- Contracting license in Dubai setup as an LLC; may be required to partner with an Emirati Architect or Civil Engineer with 10 years qualified experience; dependent on the precise area of Contracting to be undertaken. This Engineer should hold a minimum of 51% of shares in the entity.
Setting up of an engineering company in Dubai
Proof of technical ability will be required from Dubai Municipality; that is in the form of project completion that will require be notarizing, legalizing and translating for use in UAE. Shams Consultant can proceed as a link here to make sure the DM; as well as customer understand clearly which areas are to be covered; so that to make sure optimal results. Provide your business can meet the criteria listed above; a temporary permit will be issue; that will allow you to start on boarding of staff before finalizing your commercial license.
The process of setting up of an engineering company in Dubai is perhaps a complex; so it is always very helpful to seek professional advice as early as possible. We will use their expertise to lead you through the essential procedure to complete your classification; so that you can operate securely and legally as rapidly as possible in the UAE.